Posted by dutch on April 23, 2006 at 15:38:12:
You get to keep the earnest money. whoopie!
Dutch
Okhomesavers
breach of contract - Posted by Jennifer Huffman
Posted by Jennifer Huffman on April 23, 2006 at 14:11:36:
I am selling an investment property in New Mexico. The day of closing the buyer decides that he misunderstood the rental income and is backing out. I think he got cold feet and is making excuses. I have already had the appraisal, inspection and repairs done. We disclosed the rental income numerous times before closing. I feel like he should have fully understood what he was getting into before he signed the contract. Can he back out like that and cost my all these expenses? I thought it was a contract. Do I have any rights?
Re: breach of contract - Posted by John Merchant
Posted by John Merchant on April 23, 2006 at 15:25:37:
While you could sue him for specific performance, to ask the court to order him to buy, your attorneys fees and court costs would probably make that impractical.
While you were fooling with that, you could spend the same money on a marketing effort and probably find a great buyer.
Seiously, few SF lawsuits are filed by Sellers, unless huge commercial deals, as it’s just not economical these days. Cheaper to move on to another buyer.
Re: breach of contract - Posted by Keith
Posted by Keith on April 24, 2006 at 20:49:21:
John,
What is your experience with specific performance lawsuits made buy BUYERS ? Reason I ask is I just had a deal as a buyer blow up in the ninth hour because the seller did not know the accurate payoff on their loan (they took over payments years earlier from their parents)and when they found out, they would have to pay out of pocket to close the deal. Wasn’t gonna happen.
My lawyer said I could sue for Performance but I declined becasue the seller had no funds to close the deal regardless of the outcome of a lawsuit. I guess a winning judgement would at least cloud title. But didn’t think it was worth spending the cash.
I am half tempted to try and buy the note and pursue foreclosure as the note was in default last I heard.
Your thoughts ?
Respectfully,
Keith